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This paper reviews reassesses the methodology and principal findings of the “Rose effect”, i.e. the trade effects of currency union, looking at both EMU and non-EMU currency unions. The consensus estimate suggests that the euro has already boosted intra-euro area trade by five to ten...
Persistent link: https://www.econbiz.de/10011604640
Ineffective institutions increase transaction costs and reduce trade. This paper shows that differences in the effectiveness of institutions offer an explanation for the tendency of OECD countries to trade disproportionately with each other, and with non-OECD countries.
Persistent link: https://www.econbiz.de/10010324986
) with its trading partners around the world and to examine the impact of various PTAs in which India or its trading partner … the world relatively few firms participate in world trade, thus suggesting that characteristics of a firm (such as its … size and productivity) are relevant besides country level barriers on trade matter for participation in world trade. This …
Persistent link: https://www.econbiz.de/10011807638
We argue that societies with a stronger tendency towards postmaterialist life goals tilt the tax structure towards personal income taxes and away from corporate taxation. We provide empirical evidence for this correlation in OECD countries. To address endogeneity issues we then use an...
Persistent link: https://www.econbiz.de/10010281043
To serve foreign markets, firms can either export or set up a local subsidiary through horizontal Foreign Direct Investment (FDI). The conventional proximity-concentration theory suggests that FDI substitutes for trade if distance between countries is large, while exports become more important...
Persistent link: https://www.econbiz.de/10010325651
Persistent link: https://www.econbiz.de/10012876027
For more than forty years, the gravity equation has been a workhorse for cross-country empirical analyses of international trade flows and, in particular, the effects of free trade agreements (FTAs) on trade flows. However, the gravity equation is subject to the same econometric critique as...
Persistent link: https://www.econbiz.de/10010397684
This paper describes a newly collected dataset on export tax rates, which provides comprehensive coverage for 20 countries, 2 time periods and all products at HS6 level. Export tax rates are based on national government documentation, including preferential provisions for partner countries. The...
Persistent link: https://www.econbiz.de/10010316741
and importers and that export taxes play a role in the rise of world prices. …
Persistent link: https://www.econbiz.de/10010316779
empirical model which takes into account both that preferential trade agreement membership is endogenous and that the world …
Persistent link: https://www.econbiz.de/10010315584